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US Car Dealerships

Discussion in 'Gen 2 Prius Main Forum' started by Tripod137, May 9, 2008.

  1. Tripod137

    Tripod137 New Member

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    I just noticed that a few of the local US car dealerships are closing up only to be replaced by foreign dealerships. Is this just near me? or all over?
     
  2. sdtundra

    sdtundra Senior Member

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    If by US Dealerships you mean domestic dealers are closing and the spot is being reoccupied by Import car makers then yes..the Chevy dealership by my grandma's house closed up about a year ago, and 4 months ago, the Toyota dealership next door tore down the wall and made the old Chevy dealership their Used Car Lot
     
  3. FBear

    FBear Senior Member

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    The business section of the NYT had a story that the domestic car makers wanted to get rid of their under performing dealers so there would be less competition in any one geographical area.
     
  4. morpheusx

    morpheusx Professor Chaos

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    yeah I remember reading a few years ago that was going to be part of the rebuilding strategy of Ford. To basically buy out several dealers so that their dealers who sell their cars are only competing with other manufacturers rather then other dealerships with the same lineup.
    Ford takes write-down for investment in stores - Automotive News
     
  5. 928Quest

    928Quest Junior Member

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    Typical, let's cut back choice and competition rather than offer a better product.
     
  6. Patrick Wong

    Patrick Wong DIY Enthusiast

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    This makes a lot of sense. Compare Ford with 4,000 dealers (according to your cited article) vs. Toyota that has ~1,300 US dealers. If each surviving Ford dealer can sell higher unit volumes, then they will have sufficient financial strength to reinvest in their dealership's facilities and survive interbrand competition.